Malaysian sources report that the Malaysian Customs Department is expected to allow contractors to import steel of the commonly accepted British standard BS4449 in spite of the recent disputes within the local steel industry.
While the Malaysian Iron and Steel Industry Federation (MISIF) disagrees that British standard BS4449 is the equivalent in quality to the Malaysian standard MS146, the Malaysian Customs Department is likely to allow the import of any grade of steel that has certification from the relevant authority such as the Construction Industry Development Board of Malaysia (CIDB) for construction steel and such as the Public Works Department for public sector projects.
According to a letter from the CIDB to the Malaysian Customs Department dated November 7, the construction board has stated that BS4449 can be accepted in conformity with MS146.
The dispute with MISIF broke out after the Master Builders Association Malaysia (MBAM) announced on November 7 that the authority had sent a letter to the Malaysian Customs Department confirming that BS4449 adheres to the same standard as local standard MS146.
Since five months ago when the Malaysian government lifted the ceiling price on steel bars and allowed the import of all steel bars that met the MS146 standard, there has been confusion on the ground concerning the types of steel that can be imported tax free.